Gold prices on Thursday jumped over 2% to their highest in more than a year, with investors flocking to safe havens as Russian forces invaded Ukraine after President Vladimir Putin authorized what he called a special military operation.
Spot gold climbed 1.7% to $1,939.97 per ounce, after hitting its best level since January 2021 at $1,948.77. U.S. gold futures rose 1.8% to $1,943.90. Russian forces fired missiles at several Ukrainian cities and landed troops on its south coast, officials and media said. read more
Gold, considered a safe haven during risky times and has risen about 8% in February so far as the Russia-Ukraine crisis walloped risk appetite. The metal is headed for its best monthly performance since July 2020. “Gold is a haven asset along with the U.S. dollar and this is its day. We could inevitably see new all time highs in gold,” said Jeffrey Halley, a senior market analyst at OANDA.
Prices could continue rallying towards resistance at $1,960 an ounce and test $2,000 in the next few sessions, Halley added. Russia is the world’s third-largest producer of gold, while the country’s Nornickel (GMKN.MM) is also a major producer of palladium and platinum. read more
The dollar and oil prices also rocketed higher, while global stocks and US bond yields dived.
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